In The Spotlight

SMALL DONORS NOT A FACTOR IN HOUSE RACES;
DEMOCRATS MAINTAIN FINANCIAL LEAD

[Links to seven tables, with historical details and individual candidates, at the bottom.]

Democratic incumbents in the US House of Representatives had a bigger
lead over their challengers at the fifteen-month point of the 2008
election cycle and had more cash on hand, than their Republican
incumbent counterparts. Furthermore, Democratic candidates for “open
seats” held by departing Republicans had a cash-on-hand lead over their
Republican rivals (see Table 6). These financial advantages all favored
the Republicans at this stage of the 2004 cycle and were about even in
2006.

Significantly, these advantages have not
been based on the small donor fundraising that has been so important in
the first months of 2008 to the presidential campaigns of Senators
Barack Obama and Hillary Clinton. From Jan. 1, 2007 through March 31,
2008, Obama raised $232 million, 45% of which came in contributions of
$200 or less. Clinton raised $172 million over the same fifteen-month
period, with 30% coming in amounts of $200 or less.

By way of contrast, the 1,001 House candidates
registered so far with the Federal Election Commission raised a total
of $447 million between Jan. 1, 2007 and March 31, 2008. Less than 10%
of this total arrived in amounts of $200 or less (see Table 1).
This is virtually unchanged from past years. At this time in the cycle,
candidates had raised 10% of their money in amounts of $200 or less in
2006 (see Table 2), 11% in 2004
(see Table 3),
12% in 2002
(see Table 4) and 15% in 2000
(see Table 5).
There is little difference among Republicans and Democrats, but
incumbents typically raise a lower percentage of their money from small
donors than do challengers (10% versus 16% in the 2008 cycle so far).

Even so, challengers and open seat candidates typically
bring in more money from self-financing than from small donors (see
Tables 1-6). In districts considered to be competitive by the leading
political rating services, the best-funded challengers on average have
raised the same amount (14%) from small donors and self-financing. (Table 7 presents the financial figures individually for each of the competitive districts.)

CFI’s Executive Director Michael J. Malbin observed:
“The role of the Internet and the growing role of small donors in the
presidential race are healthy signs for democratic participation. But
the congressional numbers show that there is a long, long way to go
before we can walk away and declare 'problem solved'."